Arcbest Corporation · NASDAQ:ARCB
Arcbest — Q4 2023 Earnings Presentation
16 slides from Arcbest's earnings presentation, Feb 6, 2024
Slide 1: Earnings Presentation 4Q'23
Earnings Presentation 4Q’23
Slide 2: Forward Looking Statements
Forward Looking Statements Certain statements and information in this presentation concerning results for the three and twelve months ended December 31, 2023, may constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, including, among othe
Slide 3: Three-Point Strategy Continues to Deliver Shareholder Value & Drive Business Growth
Three-Point Strategy Continues to Deliver Shareholder Value & Drive Business Growth 1 2 3 Accelerate Growth Increase Efficiency Drive Innovation Optimize ABF network Develop and implement Secure new customers disruptive and game changing ENHANCED Drive scale and productivity to innovations Expand wi
Slide 4: 2023 in Review
2023 IN REVIEW Vaux Launch $4.4B Revenue New 5-Year Labor Contract 2nd Best in Company History Sustainability Leader $258M FleetNet Divestiture >70% Non-GAAP Operating Income 621 (1) # Fortune 1000 List of Top 3rd Best in YoY Stock Price Companies Company History Improvement 4 1) See non-GAAP reconc
Slide 5: Key Metrics: ArcBest Consolidated Q4 & FY 2023
Q4 2023 (1) FULL YEAR 2023 (1) Q4 & FY 2023 $1.1B ArcBest Consolidated Revenue $4.4B ArcBest Consolidated Revenue -6% -12% Key Metrics ARCBEST $81.7M Non-GAAP Operating Income(2) $258.3M Non-GAAP Operating Income(2) C O N S O L I D AT E D Flat -45% (From Continuing Operations) 1) Fourth quarter 2023
Slide 6: Key Metrics: Asset-Based
Q4 2023 (1) FULL YEAR 2023 (1) Q4 & FY 2023 $710M Revenue $2.9B Revenue Key -1% per day -4% per day Metrics $87.5M 87.7% $275.5M 90.4% Non-GAAP Non-GAAP Non-GAAP Non-GAAP A S S E T- B A S E D Operating Income(2) Operating Ratio(2) Operating Income(2) Operating Ratio(2) 8% 90 bps -33% 400 bps improve
Slide 7: Key Metrics: Asset-Based January 2024 Preliminary
JANU ARY 2024 Total Billed JANUARY 2024 P R E L I M I N ARY Y O Y (1) Rev/CWT 13% Daily Billed Key Revenue Metrics Total Billed -7% Rev/Shipment A S S E T- B A S E D 2% 1) January 2024 comparisons are to January 2023. Daily Total Daily Total Total Tonnage Shipments Weight/Shipment -18% -9% -9% Daily
Slide 8: Key Metrics: Asset-Light
Q4 2023 (1) FULL YEAR 2023 (1) Q4 2023 $413M Asset-Light Revenue $1.7B Asset-Light Revenue Key -14% per day -21% per day Metrics $(1.3M) -113% $5.3M -94% (2) Non-GAAP Non-GAAP A S S E T- L I G H T Operating Loss (3) Operating Income (3) 1) Fourth quarter 2023 comparisons are to fourth quarter 2022,
Slide 9: Balanced Approach to Capital Allocation
B A L A N C E D A P P R O A C H T O C A P I TA L A L L O C AT I O N ArcBest makes organic investments in the business and returns capital to shareholders while maintaining a solid balance sheet and investment-grade credit metrics Share Repurchases & Dividends Organic Growth Investments • ArcBest ret
Slide 10: Facility Plan Enables Growth
FA C I L I T Y P L A N E N A B L E S G R O W T H ArcBest continues to invest Net New Doors Since 2021 organically to increase capacity 9,600 9,510 9,400 347 Long-term facility plan 9,200 9,163 designed to enable mid single digit growth 9,000 8,864 299 8,800 8,729 135 9,163 9% increase in total doors
Slide 11: Strength of Our Customer-Focused Strategy
S T R E N G T H O F O U R C U S T O M E R - F O C U S E D S T R AT E G Y Customer Need Our Strength Strength in Action Broad suite of logistics solutions >90% of our Top 50 >70% of our asset- Flexible 31% of our accounts are cross- with integrated and seamless customers are light customers supply ch
Slide 12: ArcBest's Customer-Led Strategy Yields Results
A R C B E S T ’ S C U S T O M E R - L E D S T R AT E G Y Y I E L D S R E S U LT S 5% Retention rates are 5 percentage points >3x higher on cross-sold accounts Revenue per account is over 3X Over 75% of >75% higher on cross- revenue came from >3x digitally connected sold accounts customers Profit per
Slide 13: Reconciliations of GAAP to Non-GAAP Financial Measures
A D D I T I O N A L I N F O R M AT I O N Reconciliations of GAAP to Non-GAAP Financial Measures (Unaudited) Note: ArcBest Corporation reports its financial results in accordance with generally accepted accounting principles (“GAAP”). However, management believes that certain non-GAAP performance mea
Slide 14: Reconciliations of GAAP to Non-GAAP Financial Measures
ARCBEST CORPORATION - CONSOLIDATED Three Months Ended Twelve Months Ended Millions ($000,000), except per share data 12/31/2023 12/31/2022 12/31/2023 12/31/2022 Reconciliations of Operating Income from Continuing Operations Amounts on a GAAP basis $ 64.3 $ 50.2 $ 172.6 $ 394.5 GAAP to Non-GAAP Innov
Slide 15: Reconciliations of GAAP to Non-GAAP Financial Measures
Reconciliations of CONSOLIDATED ADJUSTED EBITDA (1) Twelve Months Ended December 31, 2023 GAAP to Non-GAAP ($ millions) Financial Measures Net Income from Continuing Operations $ 142.2 (Unaudited) Interest and other related financing costs 9.1 Income tax provision 44.8 Depreciation and amortization
Slide 16: Reconciliations of GAAP to Non-GAAP Financial Measures
Reconciliations of GAAP to Non-GAAP Three Months Ended Twelve Months Ended Millions ($000,000) 12/31/2023 12/31/2022 12/31/2023 12/31/2022 Financial Measures ASSET-BASED (Unaudited) Operating Income 1) Represents costs associated with the freight handling pilot test program at ABF Freight, for which